Goldcorp Hammered on Guidance; Gold Futures List Lower

by Angela Nazworth | July 11, 2012 5:30 pm

Gold miner Goldcorp (NYSE:GG[1]) dropped a bomb Wednesday, cutting its 2012 gold production guidance — an act that caused analysts including Credit Suisse, RBC, TD Newcrest and Scotia Capital to drop their price targets for GG and sent shares spiraling nearly 10%.

Gold futures dipped 0.26% during Wednesday’s trading, with a final bid of $1,575.70 per ounce, according to CME Group data[2]. Gold reached a high of $1,583.40 and a low of $1,565.50

Silver futures finished the day up 0.52% with a final bid of $26.99. Wednesday’s high for silver prices reached $27.17, and the low was $26.87.

Gold bullion ended at $1,579 per ounce for Wednesday’s trading session in London, according to BullionVault[3].

Gold and silver trusts experienced moderate gains Wednesday.

• The SPDR Gold Trust (NYSE:GLD[4]) ticked up about 0.6%.
• The iShares Gold Trust (NYSE:IAU[5]) was about 0.5% higher.
• The iShares Silver Trust (NYSE:SLV[6]) climbed about 0.7%.

Gold and silver mining ETFs headed south, with Goldcorp leading the Market Vectors Gold Miners ETF (NYSE:

GDX[7]) lower.

• The Market Vectors Gold Miners ETF fell around 2.1%.
• The Market Vectors Junior Gold Miners ETF (NYSE:GDXJ[8]) dropped about 0.1%.
• The Global X Silver Miners ETF (NYSE:SIL[9]) was about 0.3% lower.

Gold mining shares showed significant losses almost across the board Wednesday.

• Agnico-Eagle Mines (NYSE:AEM[10]) dropped about 2.1%.
• Barrick Gold (NYSE:ABX[11]) was down about 1.9%. 
• Eldorado Gold (NYSE:EGO[12]) showed sharp losses of around 3.4%.
• Goldcorp was down 9.7%.
• Kinross Gold (NYSE:KGC[13]) was down 0.1%.
• Newmont Mining (NYSE:NEM[14]) showed losses of nearly 1%.
• NovaGold Resources (AMEX:NG[15]) was down about 4.2%.
• Yamana Gold (NYSE:AUY[16]) was about 1.4% lower.

Most silver mining shares also slid heavily Wednesday.

• Coeur d’Alene Mines (NYSE:CDE[17]) slid about 0.3%.
• Hecla Mining (NYSE:HL[18]) dropped about 1.2%.
• Pan American Silver (NASDAQ:PAAS[19]) posted gains of around 0.6%.
• Silver Wheaton (NYSE:SLW[20]) dipped around 1.1%.
• Silver Standard Resources (NASDAQ:SSRI[21]) was up fractionally.

As of this writing, Angela Nazworth did not hold a position in any of the aforementioned securities. Adrian Ash of BullionVault[22] contributed to this report.

Source URL: https://investorplace.com/2012/07/goldcorp-hammered-on-guidance-gold-futures-list-lower/

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